Detailed Answer
When a foreclosure sale in New Hampshire generates funds exceeding the debt, the foreclosing party must file a Statement for Distribution under RSA 479:25 (https://www.gencourt.state.nh.us/rsa/html/XL/479/479-25.htm). The Superior Court clerk then issues notice by posting it at the courthouse and mailing it to all known interested parties. Potential claimants—including junior mortgage holders, judgment creditors, tax lien holders, and the former owner (mortgagor)—have 60 days from the date of notice to submit a claim for a share of the surplus.
1. Search Recorded Liens
Start by reviewing the County Registry of Deeds to identify all recorded mortgages, judgment liens, and other encumbrances (RSA 477:8). Next, check the Superior Court docket for pending actions that could give rise to additional liens. Compiling a full lien history ensures you don’t miss a creditor who may have priority.
2. Review the Notice of Distribution
The notice from the court clerk lists deadlines and procedures for filing a claim. Confirm the exact date the notice was issued and calculate your 60-day window carefully. Missing this deadline generally bars your claim under RSA 479:31 (https://www.gencourt.state.nh.us/rsa/html/XL/479/479-31.htm).
3. File a Proof of Claim
Prepare a written claim that includes copies of your lien documents—such as a recorded mortgage, judgment certificate, or tax lien certificate. Submit the claim and required filing fee to the Superior Court clerk before the deadline. The court will docket your claim and notify the foreclosing party.
4. Attend the Distribution Hearing
The court schedules a hearing to review all submitted claims and approve the final distribution. Attend in person or have an attorney represent you. The judge allocates surplus funds in this order:
- Foreclosure sale costs and senior liens
- Junior mortgage and judgment lien holders
- Tax lien holders
- Previous owner (mortgagor)
Helpful Hints
- Mark the 60-day filing deadline on your calendar immediately after receiving notice.
- Obtain a complete title report or conduct a manual search at the Registry of Deeds.
- Confirm filing fees and acceptable payment methods with the Superior Court clerk.
- Consider hiring a New Hampshire attorney for complex lien priorities or disputed claims.
- Keep certified copies of all recorded liens and proof of service for your records.